The Boulder Group is pleased to exclusively market for
sale a single tenant net leased, Class A office/education building tenanted by Brown
Mackie College (NASDAQ: EDMC) located in South Bend, Indiana. The 47,537 square
foot Brown Mackie College office building was built in 2009 on a 6.08 acre
parcel along a primary east-west thoroughfare in South Bend. Brown Mackie
College is owned by Education Management Corporation. Education Management
Corporation is a publicly traded company on the NASDAQ (EDMC) with a market
capitalization in excess of $600 million. Goldman
Sachs owns 43% of EDMC. The lease is fully guaranteed by Education Management
Corporation with over five years of lease term remaining in the primary term.
The Brown Mackie College property is ideally located in
the heart of the South Bend combined statistical area that has a total
population in excess of 720,000 residents. There are over 230,000 people living
within seven miles of the property earning average annual household incomes of
approximately $60,000. The University of Notre Dame is located less than two
miles to the west of the subject property. Notre Dame is one of the country’s
premiere universities with approximately 12,000 students. The property is
located just off of the signalized intersection of West Douglas Road and Grape
Road. Grape Road is the dominant retail corridor in the trade area and home to
many of the nation’s largest retailers as well as University Park Mall.
University Park Mall is an 820,000 square foot mall located less than a mile
north of Brown Mackie College and is owned by Simon Property Group. The mall is
anchored by Macy’s, JCPenney, Sears, and Barnes & Noble. Other notable
retailers in the immediate vicinity include SuperTarget, Walmart Supercenter,
Sam’s Club, Meijer, Whole Food’s, Kohl’s, Lowe’s, and Home Depot.
The Brown Mackie College property will benefit from the
extension and rerouting of Douglas Road that recently was completed. Douglas
Road now begins at the Indiana Toll Road from the west and runs all the way
through town. This improvement will
allow traffic exiting the toll road to have direct access to the property that
is three miles to the east of the exit.
The Brown Mackie College in South Bend offers courses in the fields of
nursing, healthcare & wellness, business & technology, and veterinary
technology. The Brown Mackie College is well positioned for future success in
the South Bend market due to the strength and prominence of the local health
care industry. Healthcare and education are the two driving forces and leading
employers in the South Bend region. Memorial Health System is the largest
employer in the area and in 2012 merged with Elkhart General Hospital to form
the Beacon Health System.
Brown Mackie College is a system of for-profit colleges located in the
United States. The colleges offer bachelor’s degrees, associate degrees and
certificates in programs including early childhood education, information
technology, health sciences and legal studies. Brown Mackie is owned and
operated by Education Management Corporation. Education Management Corporate is
a publicly traded company that trades on the NASDAQ (EDMC) with a market
capitalization in excess of $600 million. EDMC has 110 campuses throughout the
United States and Canada and over 120,000 enrolled students.
There are over five years
remaining on the Education Management Corporation (NASDAQ: EDMC) guaranteed
lease that expires in August 2019. This triple-net lease has two 5-year renewal
options with rental escalations in each option.
http://bouldergroup.com/NNN-Properties-For-Sale.html
